On March 3, the National Financial Regulatory Administration (NFRA) announced China's agricultural insurance premium income reached approximately CNY150bn ($20.64bn) in 2024, providing over CNY5tn in risk protection. This makes China the world's largest agricultural insurance market by premium size.
The central authorities have issued a notice advising that they would reduce subsidy rates relating to agricultural insurance premiums in major grain-producing counties.
The risk transfer solution, backed by the Natural Disaster Fund (NDF) and in partnership with Bao Minh Insurance Corporation, provides timely relief to coffee growers affected by drought.
These are the updates on insurance regulation across China this week.
The Philippine Crop Insurance Corp. (PCIC) has partnered with G-Xchange to allow farmers to receive indemnity payouts directly through GCash.
Pakistan's fertiliser company Fauji Fertilizer Company (FFC) and Adamjee Insurance Company have reached an understanding about launching a comprehensive crop protection insurance initiative.
Regulatory oversight in agricultural insurance is intensifying. End of last year, the National Financial Regulatory Administration, Ministry of Finance, Ministry of Agriculture and Rural Affairs, and National Forestry and Grassland Administration jointly issued the 'Ten Guidelines for Promoting Precision in Agricultural Insurance Underwriting and Claims' (referred to as the guidelines). This policy emphasized standardizing the agricultural insurance market. Soon after, local regulators began responding.
The Indian union cabinet has cleared the revamped versions of its two-flagship crop-insurance schemes to mitigate growing climate risks for the Indian farmers. The government has also extended the duration of these two crop insurance schemes - Pradhan Mantri Fasal Bima Yojana (PMFBY) and Restructured Weather Based Crop Insurance Scheme (RWBCIS) - for one more year till 2025-26. A total budget of INR695158m has been allocated for these two schemes.
The Agriculture and Rural Development has drawn up plans to revamp agricultural insurance in the country from the central down to the local level, according to Mr Le Minh Hoan who heads the ministry.
Four government bodies have jointly issued the "Notice on Promoting Accurate Insurance and Claims Settlement for Agricultural Insurance and Related Matters" to elevate standards in agricultural insurance.